A PROJECT REPORT ON

A STUDY OF EFFECTIVENESS OF PERFORMANCE APPRAISAL SYSTEM OF JK CEMENT

SUBMITTED TO MOHAN LAL SUKHADIA UNIVERSITY A Summer Training Undergone For the Partial Fulfillment of BBM PROGRAMME (SESSION 2006-09)

Under the Guidance of Mr. Vibhor Paliwal

Submitted by Raj Mehta BBM 3RD YEAR

VISION COLLEGE OF COMMERCE (Affiliated to Mohan Lal Sukhadia University & approved by AICTE, New Delhi) Udaipur Road, Chittorgarh E mail: vision_mgmt@yahoo.com

Preface
Cement industry is one of the core industries in India. Cement is very important material used in construction works. Like iron and steel it also has its primary role in almost all development plans of the county. The JK cement works as a well establish gigantic industry enslavement is playing an important role in the development of the country in general, besides providing diversified opportunities to the local people of employment and trade. Training is the most integral part of management studies. To know the satisfaction of customer is one of the important aspects of marketing. By the marketing research we can find many solutions to marketing problems. The plant of JK Nimbahera is fully mechanized and obviously it is my great pleasure to have got an opportunity of training programme in such a recognized concern. I have learnt a lot from JK cement works and this project report brings you the description of the same related to satisfaction of cement users. The report is followed by. Chapter 1:- Company profile: this Chapter is about the general aspect of companys history, capacity, types of cement, process, management setup, responsibility of JK cement, Nimbahera. . Chapter 2:- About Performance appraisal conceptual frame work: In this chapter definition on characteristic Needs and importance of performance appraisal factor is explained.

Chapter 3:- Research methodology: This chapter is all about research methodology which is adopted by researcher. Research objectives & tools are explained in this chapter. Chapter 4 Data analysis & interpretation: In this chapter researcher analyzed the collected data in terms of tables and charts & interprets them. All collected data concern about performance appraisal and data analysis and interpretation part is focused upon finding the trends. Chapter 5: Findings, Conclusion & Suggestions: In this section researcher

presents about conclusion of which he reached after his research. He also tries to give his best suggestion to the organization.

ACKNOWLEDGEMENT

I am grateful to the management of Vision School of Management for granting me permission to undertake this project on customer satisfaction of cement users with reference to JK cement. I would like to express my sincere gratitude to all those without whose help and guidance this project would not have seen the light of the day. First and foremost I would like top express my heartfelt gratitude and regards to my very corporative project guide Mr. A.L. Jain (Director, Vision School of Management), Mr. Vibhor Paliwal (Faculty Economics), Dr. Snahel Mahesker (Faculty, Management) for showing confidence in me and guiding me towards the fruitful culmination of the project and I thank all of them for their active help and support in weaving the project to desired form. I am grateful to Mr. R.P. Singh (HRD, JK cement, Nimbahera) and for all those members of JK cement Regional Training Centre who supported me in completing this project. Chittorgarh (Raj.) (Raj Mehta)

SELF DECLARATION
I my self declare that I have completed my summer training at JK cement,

Nimbahera from 5.07.2008 to 4.9.08. I used primary & secondary data for further findings. All work in project is original. I used many academic approaches during study period this course I took help of various books, which were mentioned honesty later in the bibliography.

Raj Mehta

CONTENTS
Description Preface Acknowledgement Self declaration Chapter 1 Company profile 1.1 History behind JK cement 1.2 Present Capacity and performance 1.3 Types & use of cement 1.4 Raw material 1.5 Manufacturing processes for cement 1.6 Management set-up 1.7 Social responsibility Chapter 2 Conceptual framework 2.1 Introduction 2.2 Performance Appraisal Process 2.3 Methods Of Performance Appraisal 2.4 Performance Appraisal In JK Cement Chapter 3 Research methodology 3.1 Introduction 3.1.2 Objectives Chapter 4 Data analysis & interpretation Chapter 5 Findings , Suggestions & Conclusions 5.1 Findings 5.2 Suggestions 5.3 conclusion Bibliography Annexure Page No.

EXECUTIVE SUMMARY
Cement is one of the important material uses for construction Work. Because of its importance many new brands has been increasing. Its depends on the consumers that which of the brand they prefer. Therefore it is necessary to know consumer behavior and find out the way the consumer behave in purchasing any specific brand of cement. Consumer buying pattern has been changed they have switched from importance of price to quality. By research I tried to know the view about consumer buying pattern.

CHAPTER 1 COMPANY PROFILE

OVERVIEW OF J K CEMENT WORKS

1.1 HISTORY BEHIND J K CEMENT The initial "J.K." stands for a father- son team, namely: Juggilal Kamlapath Singhania J .K. organization started in the year 1884 at Calcutta. J .K. started their business as a Financier, Investor, Trading Supplier of cotton belts and manufacturer of small machinery parts like V' belts, etc. They established few small cotton textile industries also. In the year 1914 they shifted their business from Calcutta to Kanpur where they established many big industries like J.K. cotton Mills, Straw product Co, Lohia Mach, J.K. Pulp and Raymonds Woolen, etc. In the year 1934 J.K. organization started one more division, as J.K. Synthetics Ltd. They established various big plants of Nylon, Acrylic fiber, etc. at Kota and Tyre Cord, Chemical and Pesticides at Jhalawar. In the year 1974 under the same division one more unit was started for manufacturing of Grey Cement at Nimbahera.
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 The present cement factory was commissioned in the year 1974. The plant started its production from 27th Dec 1974.

Its plant / kiln were commissioned in 1974 and the capacity of this plant was 900 tonne per day and 3 lakh tonne per year. After modification in Preheater, its present capacity is 1200 TPD.

Expansion of this plant took place in the year 1979, when 2nd kiln was commissioned with a capacity of 1200 tonne per day and 7 lakh tonne per year. After modification in Preheater its present capacity is 1800 TPD.

Again in the third phase, a kiln was erected in the year 1982 and production of this kiln was 1350 tonne per day.

In the year 1988 a new technology was introduced in this 3rd Kiln that consisted of recalculation process, which raised the capacity of this plant to 3400 tonne per day, which was earlier 1350 tonne per day. In Aug.-2003 after again some modification in Preheater and Folex cooler its capacity is increased to 5000 TPD.

Besides, J.K. cement plant is having its own diesel generator sets, producing power to meet the power energy requirements.

Main raw material for cement is LIMESTONE, for limestone we have our own

open cast mines adjoining to the plant. Besides we have developed few more
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mines at Maliakhera, Karoonda and Tilakhera for producing 10,000 tones limestone per day as needed.

J .K. Cement erected one more plant from Jan. 2001 with the capacity of 1400 tonne per day at village Mangrol.

MANGROL UNIT

In Nov.-2003 after modification in Preheater and installation of Mechanical elevator its capacity increased to 2200 TPD.

Due to power shortage as imposed by Ajmer electricity supply board J.K. established its own Thermal Power Plant at village Bamania, near Shambhupura, which is generating 15 M.W. Power every day, which is consumed by J.K. Cement Plant.

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J K Cement also has a plant of 400TPD installed capacity of White Cement at

Gotan, Nagpur (Raj). J.K. Cement has started the following projects: Cement Project at Karnataka of over 5500 TPD and Thermal Power Plant of capacity 30 MW. Thermal Power Plant at Nimbahera of 22 MW. Waste Heat Recovery Plant at Nimbahera of 15 MW capacity. Bhumi Poojan of Dr Gaur Hari Singhania Technical University

at Bhatewar, Udaipur.

J.K. cement is one of the most productive, cost efficient cement producing plant in the country, a company, believing in corporate responsibility to society, integrity and fairness. The companys cement is sold under the J.K. Sarve Shaktiman brand name, enjoys good brand image and a price premium.

The following types of cements are produced by J K Cement Works. (a) Ordinary Portland Cement (OPC) (b) Portland Pozzolana Cement (PPC) (c) Super Silicate Cement (SSC) (d) Masonry Cement (MC)
J. K. Cement manufactures and markets cement and clinker for both domestic as well as exports markets. 12

1.2 PRESENT CAPACITY AND PERFORMANCE 1.2.1 CLINKER PRODUCTION I st Plant / Kiln II nd Plant / Kiln III rd Plant / Kiln IV th Plant at Mangrol Total Capacity 1200 Tonne Per Day (TPD) 1800 TPD 5000 TPD 2200 TPD 10200 TPD

1.2.2 PRODUCTION ANALYSIS TABLE: IN TONS Year 2005-06 2006-07 Clinker 3170268 2907196 Cement 3511022 3640823

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2007-08

2917045

3765855

1.2.3 FINANCIAL ANALYSIS: IN Rs. / Crore Turnover 1108.7 1529.7 1812.8

Year 2005-06 2006-07 2007-08

PBT 52.2 272.0 346.6

AN OVERVIEW OF CEMENT
CEMENT Cement can be defined as any substance, which can join or unite two or more pieces of some other substance together to form a unit mass. Cement, as used in construction industries, is a fine powder which when mixed with water and allowed to set and harden can join different components or members together to give a mechanically strong structure. Thus, cement can be used as a bonding material for bricks or for bonding solid particles of different sizes (rubble masonry) to form a monolith.

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HISTORY OF CEMENT The history of cement is the story of civilization from primitive caves of prehistoric times to the skyscrapers of the modern age. It is said that the use of cement is form the period of use of fire. Egyptians utilized gypsum plaster as cementing material as early as 3000 BC building their monuments.

However, It was in 1824, sixty-eighty years after the discovery of hydraulic properties of lime Joseph Aspdin patented his product, which was called "Portland Cement" The plants manufacturing Portland cement outside England were commissioned in Belgium and Germany in 1855. The interest that is evoked in the technology o f cement resulted in the development of Rotary kilns in 1886. Modern cement is the outcome of the combined research and development efforts of chemists, technologists and architects. The cement technology is an offshoot of the overall development in other industries, technology, constructional activities and knowledge and the availability of raw material.

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1.3 TYPES AND USES OF CEMENT: Types of Cement Ordinary Portland Cement (OPC) Portland Slag Cement Portland (PPC) Pozzolona Application General construction General construction and marine works. Cement General construction, construction & marine. hydraulic

White Portland Cement Oil Well Cement

Architectural purposes, decorative work and in manufacturing of titles. Connecting the steel casing to the walls of gas oil wells at high temperature and to seal porous formations in petroleum industry. Where low heat on hydration is required as in mass concrete for dams. In a varity of aggressive conditions like marine works, concrete sewers carrying industrial effluents. Mainly as refractory cement and as structural material giving high early strength development in cold regions.

Low Heat Portland Cement Super Sulphated Cement

High Alumina Cement

1.4 RAW MATERIAL 1.4.1 Raw MaterialsLimestone (calcareous) and clays (argillaceous) are the conventional raw materials mostly used in cement industry. Sometimes sandstone (siliceous),bauxite (aluminous) and iron ore (ferruginous) are used, as corrective material to maintain desired composition for potential property of clinker. Cement manufacturing process involves Preparation of raw mix by crushing, grinding and blending of raw materials in definite proportions.

Burning the raw meal at clinker temperature (14500C) in a kiln.

Grinding the resultant clinker to fine powder with certain amount of gypsum to regulate setting of cement.

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1.4.2 Types of Raw Material It is known that raw meal feed for cement manufacture basically consists of two components Calcium carbonate Alumino silicates Due to depletion of cement grade limestone, it is necessary to go in, more and more, for byproducts and waste materials of chemical, metallurgical, coal and other industries as raw material for cement manufacture. 1.4.3 TECHNOLOGICAL ASSESSMENT OF RAW MATERIAL Raw materials are characterized by (a) Chemical composition (b) Mineral composition (c) Physical composition (d) Mechanical characteristics Composition of Ordinary Cement: Ordinary Portland Cement is the basic cement and it has three grades namely 33, 43 and 53 respectively. Limestone is the principal raw material for the manufacturing of cement. Our country has enough reserve of raw material needed in the cement industry. Cement consumption growth is highly correlated to the GDP growth and serves as a leading indicator. More industrial activity and greater purchasing power means more asset formation and construction and thus more consumption of cement. Ingredient Percentage Range lime Silica Alumina Calcium sulphate Iron Oxide Magnesia Sulphur Alkalise 64 22 5 4 3 2 1 1 64-68 17-25 3-6 3-5 3-4 0.1-3.0 1-3 0.2-1.0

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1.5 Manufacturing Process

The production process for cement consists of drying, grinding and mixing

limestone and additives like bauxite and iron ore into a powder known as raw meal. The raw meal is then heated and burned in a pre-heater and kiln and then cooled in an air cooling system to form a semi-finished product, known as a clinker. Clinker (95%) is cooled by air and subsequently ground with gypsum (5%) to form Ordinary Portland Cement (OPC). Other forms of cement require increased blending with other raw materials. Blending of clinker with other materials helps impart key characteristics to cement, which eventually govern its end use. There are two general processes for producing clinker and cement in India : Hydro Processing (Wet Process) Pyro Processing (Dry Process) The basic differences between these processes are the form in which the raw meal is fed into the kiln, and the amount of energy consumed in each of the processes. In the dry process, the raw meal is fed into the kiln in the form of a dry powder resulting in energy saving, whereas in the wet process the raw meal is fed into the kiln in the form of slurry. There is also a semi-dry process, which consumes more energy than the dry process but lesser than the wet process.
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We are using Pyro Process in JK Cement Works.

PYRO PROCESSING The basic steps involved in the production process are set out below: In order to manufacture cement from the raw mix, it is required to heat raw meal to a temperature of 1450OC, thus carrying out SINTERING OR CLINKERISATION. The burning process requires an oxidising atmosphere in the kiln, as in the opposite case a clinker of brown colour (contrary to the normal greenish gray) will be formed and the resulting cement will be quicker setting and with lower strength. Chemical Transformations During heating of the raw meal to the burning temperature 1450oC (clinkerization or sintering) certain physic-chemical processes take place. These include: Dehydration of the argillaceous minerals; decomposition of the carbonates (decarbonisation or expulsion of CO2 commonly known as calcination); reactions in solid phase and reactions with the participation of one liquid phase and crystallizations. These processes are influenced by chemical factors in the raw meal (such as its chemical composition), by mineralogical factors (its mineralogical composition), by physical factors (fineness or particle size in the raw meal), homogeneity and other factors. The complete course of these endothermic reactions plays a decisive role in quality of the resulting cement. In per-heater kiln, the first five transformations shows in figure 4.1 will take place in pre-heater tower. The decomposition of limestone and other carbonates will
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primarily take place in the calciner vessel where the calcinations temperature is maintained by injection of fuel. The last two transformations will take place in the rotary kiln. The carbonate Ca CO3 decomposes between 600 800OC to form CaO. Quartz and clay will have started decomposing slightly before that to liberate free reactive Al2O3 and SiO2 The CaO being formed at this stage, now reacts with SiO2 to form C2S and later with more CaO to form C3S. Some CaO will also react with Al2O3 and Fe2O3 to form various intermediate components such as CA, C12A7 and others, which will decompose at higher temperature at later stage. C2S content is seen to grow steadily during the heating and reach maximum content at approx. 1300OC which is a point where liquid phase appears. The major part of C2S is then transformed to C3S in the liquid phase and the final content of C2S in the clinker is less than the content of C3S.

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PRODUCTION PROCES

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We produce grey cement and white cement. Grey cement produced by us consists of Ordinary Portland Cement (OPC) and Portland Pozzolana Cement (PPC). OPC has three principal grades that are differentiated by their compressive strengths, and consist of 53-grade, 43-grade and 33-grade OPC.

All our products comply with the quality standards specified by the Bureau of Indian Standards (BIS). Our cement products are marketed under the brand names J.K. Cement and Sarvashaktiman for OPC products, J.K. Super for PPC products and J.K. White and Camel for white cement products, which we believe are well known brands.

White cement based putty for luxurious and silky interior/exterior finish of your dream home. JK WALL Putty is White Cement Based
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1. Grey Cement Grey cement produced by us consists of OPC and PPC. There are also other cements in the market that we do...

2. White Cement We manufacture white cement under the brand names J.K. White and Camel. White cement is produced using a...

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3. Water Proof JK Water proof is another product from JK Cements Ltd. which is ISI approved. Its a water repellent material in...

Technologies change, needs change, and in turn products change. What remain unchanged, are values and ideas that propel any entity forward. Ideas that are concrete and unwavering, just like their outcome. At JK Cement we are crossing milestones, one after another, propelled by the following concrete ideas:

To provide products that fully comply with technical specifications committed to our customers, at the most competitive price.

To ensure complete reliability in our dealings with customers, distributors, suppliers & other partners.

To operate our manufacturing facilities in such a way, that they help sustain the environment & provide new opportunities for the underprivileged in that region.
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To ensure that every department of our every office encourages new & better ideas and freedom of expressing the same, and cultivate a work environment that rewards excellence in every employees chosen area of work leading to a harmonious & fulfilling atmosphere.

To motivate every team member to challenge his last best performance and out do it continually.

To remain abreast and imbibe the latest technological trends for the benefit of our customers.

We enjoy a number of key competitive advantages, which have helped us maintain our position as one of the leading cement manufacturers in the Northern Indian cement market. Our principal strengths and competitive advantages are as follows:

Leading position in attractive Northern India grey cement market. Based on CMA data, Northern Indian cement manufactures have consistently operated at the highest levels of capacity utilization among Indias five regions. We believe this reflects the strong demand in Northern India for cement products relative to supply. Further, based on capacity expansions announced by cement manufacturers, we expect cement plants in Northern India to continue to operate at high utilization levels and anticipate continued strong demand for our grey cement
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products

in

the

near

and

medium-term.

We believe that we are well positioned to take advantage of this demand, as the fourth largest grey cement manufacturer in Northern India, and the largest grey cement manufacturer in the state of Rajasthan.

One of the Leading white cement producer in India White cement accounted for 16.6% of our total cement revenue and 35.2% of adjusted EBITDA from our cement operations in fiscal 2005, and 15.5% of revenues and 26.7% of our adjusted EBITDA from our cement operations in the six months ended September 31, 2005. Unlike grey cement, the white cement industry in India is highly concentrated with the two largest players accounting for the substantial majority of Indias production capacity. Consequently, prices of white cement have been relatively less volatile and sales of white cement have generated more stable cash flows for us even during industry downturns in grey cement. We also believe our position as the second largest producer of white cement in India, together with our nationwide delivery network, significantly enhances the overall brand image of JK Cement.

Proximity and access to large reserves of high quality limestone

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We have access to large reserves of limestone for both our grey and white cement operations, which we believe are sufficient to sustain our operations well into the future. Based on independent geological surveys of different mines during 1996 to 2001, we believe that our limestone reserves are sufficient to support our current and planned capacity for approximately 40 years for both grey and white cement. (Put in risk - assuming we are able to renew our existing leases upon their expiry) As one of the first cement producers in Northern India, we were able to choose our limestone reserves in an area with high quality limestone resources. In addition to allowing us to produce white cement, which requires high quality limestone, it also provides us with a cost advantage, as we are not required to purchase sweeteners to improve the quality of limestone. Further, our manufacturing plants are in close proximity to our limestone reserves, resulting in lower transportation costs. Finally, our mines that supply our white cement plant at Gotan also have a supply of white clay, an important additive necessary for white cement production. Quality of products and strong brand name We believe that brand name and reputation are important to retail purchasers of cement in India. We have built a strong reputation among cement purchasers by consistently providing high quality products. We believe that there is strong customer awareness of our brands, JK Cement (Sarvashaktiman), for grey cement in our principal market in Northern India, and JK White (Camel), for white cement across India. Further, we believe that our brand name and our reputation for consistently supplying high quality products provide us with a competitive advantage in ensuring that cement dealers carry our products.

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Extensive marketing and distribution network We have a wide distribution network for grey cement in Northern India. We also have a strong all-India distribution network for white cement. Our distribution network for grey cement products consists of 44 feeder depots serviced by seven regional sales offices in Delhi, Haryana, Uttar Pradesh, Punjab, Rajasthan, Madhya Pradesh and Gujarat. Our white cement network comprises 20 feeder depots serviced by 13 regional sales offices in Delhi, Chandigarh, Uttar Pradesh, West Bengal, Andhra Pradesh, Tamil Nadu, Karnataka, Kerala, Maharasthra, Gujarat, Madhya Pradesh and Rajasthan. In addition, we have more than 4,000 retail stores that stock our grey and white cement products, as well as 22 sales promoters and four handling agents. We believe that the extent of this network, and our relationships with our dealers, enables us to market and distribute our cement widely and efficiently.

Experience and technical know-how We have 30 years of experience in the Indian cement industry, which we believe provides us with the skills to maximize production efficiency, expand production capacity quickly and reduce costs. Over the years, we believe that we have

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developed long-term customer relationships and a strong reputation for quality. In addition, we have a proven track record of upgrading and modernizing our production capabilities efficiently, having increased our production capacity at Nimbahera by more than 80%, from 1.54 million tons in 1998 to 2.8 million tons as of September 30, 2005. Further, we have a stable and experienced middle and senior level management team, many of whom have been working in our cement operations for more than 20 years. Our Nimbahera manufacturing facility was chosen by the World Bank and the Danish International Development Agency as one of the four training centers in India to serve as the Regional Training Center for Northern India. There are only four regional training centers for the cement industry in India, and we believe our operation of the training center provides us with access to state of art training aids, live working models, and technical expertise developed by well known national and international cement producers.

Over the years, we have developed long-term customer relationships and a strong reputation for quality. In addition, we have a proven track record of upgrading and modernizing our production capabilities efficiently, having increased our production capacity at Nimbahera by more than 80%, from 1.54 million tons in
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1998 to 2.8 million tons as of September 30, 2005.We have a stable and experienced middle and senior level management team, many of whom have been working in our cement operations for more than 20 years.

Our Nimbahera manufacturing facility was chosen by the World Bank and the Danish International Development Agency as one of the four training centers in India to serve as the Regional Training Center for Northern India. There are only four regional training centers for the cement industry in India, and we believe our operation of the training center provides us with access to state of art training aids, live working models, and technical expertise developed by well known national and international cement producers.

1.6 MANAGEMENT SET- UP 1 Corporate Level- Kanpur Chairman Managing Director - Dr Gaur Hari Singhania - Shri Y P Singhania

Group Executive President - Shri R G Bagla 2 Unit Head Level- Nimbahera President - Shri D. Ravisankar
J K Organization

J K K Cement Ltd. (Grey Cement) J Cement Works 1. 2. 3. 4. J K Cement Works, Nimbahera J K Cement Works, Mangrol J K Thermal Power Plant, Bamania ProjectsJ K White Cement30 Works Gotan, J K Thermal Power Project, Nimbahera Nagaur

J K Cement Project, Karnataka

1.7 SOCIAL RESPONSIBILITY Educational services: Construction of rooms in Govt. College at Nimbahera. Running JK Institute of Technology, ITI in five trades affiliated to NCVT. Running 10+2 CBSE affiliated school Running Regional Training Centre for Cement technocrats aided by WB & DANIDA. Various constructions in nearby govt. Schools of Chittorgarh district. We are involved in girls school (under construction) and committed reasonable financial contribution for above Medical services Rs. 36 lacks contribution for the construction of govt. Hospital at Nimbahera. Ambulance to govt. Hospital. Free facility of pathological laboratory for the persons of surrounding area. Financial contribution to various NGOS for medical camps in the district. Financial contribution for construction of dispensary & health centre in nearby villages. Free Homeopathic consultancy/medicines for the patients of nearby area. Religious services Radhakrishna temple at colony premises. Prayer hall in hanuman temple in Nimbahera. Bheemkeshwar temple in staff colony. Dharmashala at Bhanwarmata (tourist/ religious place).
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 8 rooms for Dharamshala at Pashupati Nath temple in Mandsaur (M.P.). Various temples in number of nearby villages.

Sports services Sports infrastructure like wooden badminton court, table tennis court, billiard room, and cricket ground, volleyball ground in colony campus. Sponsoring all India youth football, volley ball and badminton tournaments. Sponsoring inter-district tournaments. Arranging summer camps for various sports. Other social services Construction of approach roads in and around villages of mining area. Digging of tube wells. Supply of tube well pumps. Construction of water tanks. Supply of drinking water in tankers in nearby needy places during summer. Regular plantation in plant, colony and nearby villages. Direct and indirect employment to thousands of persons of surrounding area. Financial helps to NGOS.

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CHAPTER 2 CONCEPTUAL FRAMEWORK

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2.1 Introduction to Performance Appraisal System

Performance Appraisal is method of evaluation the behaviour of employees in the work spot, normally including both the quantitative and qualitative aspects of performance. It is a systematic and objective way of evaluating both work-related behaviour and potential of employees. It is a process that involves determining communicating to an employee how he or she is performing the job and ideally establishing a plan of improvement.

2.2 Performance Appraisal Process

The term appraisal means evaluation of the performance of employees. Evaluation of employees performance or potential provides data about past, present and expected performance so that appropriate decisions can be made. Systematic, formalized appraisals of an employee are likely to occurs at regular intervals throughout the history of ones employment in an organization performance Appraisal assists mangers in making decisions about differential treatment to be accorded to individual employees in salary administration, promotion, transfer, performance planning, training, counseling, discipline an other matters to enhance the attainment of organizational goals.

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Performance appraisal is a process of evaluating employee performance in order to guide and develop the employee's potential. In many extension organizations, which are government departments, the performance appraisal is nothing more than a confidential judgment of work done and a character report used to facilitate disciplinary action or promotion.

Performance appraisal is planned, developed and implemented through a series of steps: Step1 Establish performance standard Appraisal system requires performance standards, which serve as benchmarks against which performance is measured. Step 2 Communicated the standard Performance Appraisal involves at least two parts- the appraiser who does the appraisal and the appraisee whose performance being evaluated. Both are expected to do certain things. The appraiser should prepare job description clearly; help appraisee set his set his goals and targets; analyse results objectively; offer coaching and guidance to appraisee whenever require an reward good results. Step 3 Measure actual performance After the performance standards are set and accepted, the next steps are to measure actual performance. This requires the use of dependable performance measures, the rating used to evaluate performance. Performance measures, to be helpful must be easy to use, be reliable and report on the critical behaviours that determine performance. Four common sources of information, which are generally used by manager regarding how to measure performance; Personal observation, statistical reports, oral report and written report. Step 4 Compare actual performance with standard and discuss the appraisal

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Actual performance may be better than expected and sometimes it may go off the track. Whatever be the consequence, there is a way to communicate and discus the final outcome. Step 5 Taking corrective actions, if necessary Corrective action is of two types. The one which puts out the fires immediately and other one which at the root of the problem permanently. Immediately and other one which strike at the root of the problem permanently.

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2. 3 Methods of Performance Appraisal

The methods of performance appraisal may be classified into three categories, as shown in figure; Performance Appraisal Techniques

Individual evaluation methods 1.confidencial report test 2.eassy evaluation technique 3.critical incidents 4.cheak list 5.graphical rating scale 6.behavioiurally anchored 7.rating scales 8.forced choice method 9.MBO

multiple-person evaluating 1. ranking 2. paired comparison 3. forced distribution

other methods performance 1. field review

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2.4 Performance appraisal in JK CEMENT

Performance appraisal is the systematic, orderly and objectively procedure in order to evaluate current performance of an individual. The main objective of performance appraisal is to acquaint the appraiser with the appraisal system vis--vis appraisal forms, rating scale, appraisal factor and the basic guideline while appraising performance. It aims at developing the Human resources through identifying their strength and weaknesses.

Appraisal System according to JK Cement

Performance Appraisal System is a method of evaluating the behavior of employees in the work spot, normally including both the quantitative and qualitatitive aspect of job performance. It is a systematically and objective way of evaluating both work-related behavior and potential of employees. It is process that involve determine and communication to and employee how he/she is performing the job and ideally, establishing a plan of improvement In other words performance appraisal system is a systematically, orderly and objective method of evaluating current performance of the employee in an organization.

Objectives of Performance Appraisal in JK Cement

Performance Appraisal could be taken either for evaluating the performance of employee or for developing them. There are two types of evaluation that are telling the employee where he stand means what is the current position of employees in the organization and using the data for personal decision concerning pay, promotion, transfer etc. So the Performance Appraisal is aimed at achieving: -

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The main objective behind appraisal is it create and to nourish a performance oriented and learning culture. It provides a sense of dedication and challenges to employees and their teams through. Role clarity is important point of objectives that how an appraisee know about his role in organization. It enables the appraisee plan and reviews his performance through a participatory process. Appraisal system establishes a linkage between performance and reward. According to this objective it improve or he/ she is in very good performance so that naturally he/she will get reward. And once get reward than definitely he will try to improve his performance as best as possible. Appraisal system establishes or facilitates a planned process of management growth and development It aims to establish an organizational environment where superior performance permeates every aspect or the JK CEMENT GROUP employee's professional life. It creates a culture that empires and empower every individual to contribute his/her best in building the business and the organization through self-development and provide opportunities to recognize and develop achievers. Performance Appraisal also develops and optimizes Human Resources. Performance Appraisal is biased on the belief that clarity of goals and objective setting through a participatory process provides the foundation for " Superior Performance". It believes that every individual is capable of setting objectives and assessing one own performance. It underlines introspection as a means of growth.

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2.4.1 Appraisal Process in JK Cement

The Performance Appraisal process of JK Cement is consists of a series of steps. Each step focuses a specific trait through which an individuals performance is appraised. These Appraisals are done in the systematically, through a well defined and developed appraisal form. In these appraisal forms, the Performance of an appraisee is assessed based upon is task and achievement status mentioned by the appraisee by his immediate superior (i.e. Appraiser) and subsequently it is reviewed by his superiors superior (i.e. Reviewer). Basically three different types of appraisal forms are being used in the JK Cement according to different grades of employee. The Appraiser who is immediate supervisor of the person being appraised appraises all the apraisees. The appraisal is done against various factors and the appraiser indicates performance rating, which can be reviewed by the reviewer. In order to review the focus of appraisee's time attention, seriousness and use of resource with the organizational / business needs bi-annual reviews are conduction to assess the performance of the managerial cadre imply. For the first review of appraisee, the reviewer and an appraiser give attention to on the work performance of the month of April to September. This process is completed on the month of October. After that second review is take place in the March. This review is done on the basis of goals, which are completed during the period of October to March.

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APPRAISAL PROCESS IN JK CEMENT

A DIAGRAMETIC VIEW

HRD puts up from to unit Head for counter signing

HRD sends relevant PADP/MPDP form to Functional Head

HRD incorporate change after review

Functional Heads hands over form to respective Appraisers

Review of specific cases by reviewer in consultation with appraisee

Appraiser hands over form to appraisal of managerial cadre for self-Appraisal

HRD collect appraisal rating and sends back form of specific cases for review to reviewer

After Goal setting and self-appraisal by the appraise it goes back to the Appraiser

Reviewer sends filled in appraisal forms to HRD

Appraiser assessed the performance of managerial and nonmanagerial cadre employees

Appraiser submits the completed form to reviewer

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Performance Review process: The most important part of review is a reviewer who is the immediate supervisor of the appraiser further examines performance appraisal of all employees. The reviewer carefully scrutinizes the Appraisal form. If felt necessary, the Reviewer can revise the appraisal rating with the concurrent or involvement of the appraiser. The reviewer should specially ask for written justifications by appraise in the appraisal form that is called Task Status.

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CHAPTER 3 RESEARCH METHODOLOGY

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3.1 INTRODUCTION RESEARCH METHODOLOGY

For the best result of the research, researcher used Descriptive Research Methodology. The key to good descriptive research knows exactly what you want to measure and selecting a survey method in which every respondent is willing to corporate and capable and accurate information efficiently. * In this methodology researcher used survey method. The survey method involves a structure questionnaire given to respondents and designed to draw out specific information. Thus, this method of obtaining information is based on the questioning of respondents. Respondents are asked a variety of questions regarding their behavior, intention, attitudes, awareness, motivations, and demographic and lifestyle characteristics. These questions may be asked verbally, in writing, and the responses may be obtained in any of these forms. Typically, the questioning is structured. Structured here refers to the degree of standardization imposed on the data-collection process. In structured data collection, a formal questionnaire is prepared and the questions are asked in a prearranged order; thus the process is also direct. The structured direct survey, the most popular data-collection method, involves administering a questionnaire. In a typical questionnaire, most questions are fixed-alternative questions that require the respondent to select from a predetermined set of responses.

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QUESTIONNAIRE

A questionnaire, whether it is a called a schedule, interview form, or measuring instrument, is formalized set of questions for obtaining from respondents. Typically, a questionnaire is only one element of data-collection package that might also include 1) Fieldwork procedure, such as instruction for selection, approaching and questioning respondents *Joe Official, senior vice president, general manager, Burke. 2) Some reward, gift or payment offered to respondents 3) Communication aids, such as maps, pictures, advertisement, and products and return envelopes. Regardless of the form of administration, a questionnaire is characterized by some specific objectives. Objective of Questionnaire The questionnaire has three specific objectives. First, it must translate the information needed into a set of specific question that the respondents can and will answer. Developing questions that respondents can and will answer and that will yield the desired information is difficult. Second, a questionnaire must uplift, motives, and encourage the respondent to become involve in the interview, to cooperate and to complete the interview. Third, a questionnaire should minimize response error. The potential sources o error in research designs were response error was defined as the error that arises when respondents give inaccurate answer or their answers are misericordia or misanalyses. As the basic framework is designed, come to the part of methodology application for the project, for those objectives were determined and a systematic plan was made.

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 Research Research Objectives Research Plan

3.1.1

RESEARCH:
Research is a systematic and scientific search for pertinent

information on a specific topic. It may be understand as a science of studying how research is done scientifically. It is an art of scientific investigation. Research is a voyage of discovery. It is also said to be the pursuit of truth with the help of study, observation. Comparison and experiment. The role of research in several fields of applied economics, whether related to business or to economy as a whole, has greatly influence in modern times. The increasing complex nature of business and government has focused attention on the use of research in solving problems. R- Rational way of thinking E- Expert & exhaustive treatment S- Search for solution E- Exactness A- Analytical analysis of adequate data R- Relationship of facts C- Careful recording Critical observation Constructive attitude Condensed & compactly stated generalization H- Honesty & Hard work

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3.1.2. Research Objectives: The present survey has been undertaken with following objective: Objectives of the study

To study the policy and practices of Performance Appraisal in JKCement To analyze its relevance and importance in JK Cement
To study its application procedure To suggest some measures for the improvement of the current performance appraisal system and its effective implementation

3.1.3 Research Plan :The project was carried at JK Cement, Nimbahera. a) Data Source: Both primary and secondary data are used for project work. Primary source Primary source was collected from the employees who are head office members of JK Cement.

Secondary source: Written material regarding Performance Appraisal policies and procedure in JK Cement is used as a secondary data. Different forms, handbooks, reports, magazines, etc were also preferred.

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b) Research Approach Survey research: - Interview and questionnaire method provide out to be the best approach for this study. c) Research Instrument A common questionnaire is used for all the employees. Questionnaire has been appended in the annexure. d) Sampling Plan

i)

Sampling unit

This Sample unit chosen by the researcher is JK Cement plant Nimbahera. ii) Sampling size

35 employees were contacted for this study. iii) Sampling procedure

The entire employees who are working in Head Office are included in this study. The questionnaire has been administered on 9 employees of the finance & commerces department, 10 from the Information Technology, 6 from the Process department and rest 10 are from the HRD department The entire employees who are working in Head Office (executive and non executive) are included in this study Size of the respondents = 35 No of questionnaire = 35 No of questions = part A has 6 questions Part B has 20 questions This questionnaire is filled by the managers, assistant manager, engineers, deputy manager and senior assistant managers of purchase department, civil engineer department, mechanical department, account department, personnel department,

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training and placement department, time office and information technology department of JK Cement. The question covers various facts of performance appraisal system analyzed in questionnaire. A graphical analysis of the responses is attended on under:

LIMITATIONS
The researcher collected necessary datas and information for the project with having the following limitations1. 2. 3. 4. Time limitation Resource constraints Financial limitation Confidentiality of data

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CHAPTER 4

DATA ANALYSIS AND INTERPRETATION

50

DATA ANALYSIS AND INTERPRETATION

Table-1 Awareness of organizational vision, mission and value Particulars Responses out of 35 Total% Strongly agree 18 51.44 Agree 12 34.28 Disagree 5 14.28 Strongly disagree _ Dont know _

14.28

34.28

54.44%

Str. Ag. Ag. Dis. Ag. Str. Dis Ag. Don't Kn.

As shown in above table, in JK cement almost 88.72% employee are well aware of organizational vision, mission and value. It means that every employee has known about his target to achieve at the end of year.

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Table 2 Long term goals Particulars Responses out of 35 Total% Strongly agree 11 31.43 Agree 18 51.43 Disagree 6 17.14 Strongly disagree _ Dont know _ -

17%

0% 31%

stro.agree agree dis.agr. stro.disag. dont kno.

52%

This table shows that, in JK Cement 83% employees are well aware from their long-term goals with their target dates. In industries, employees decide his longterm goal with doing discussion with his superior. But 17.14% employees are not aware of their long-term goal so they want some information about their job description.

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Table-3 Table of job responsibilities

Particulars Responses out of 35 Total%

Strongly agree 14 40

Agree 17 48.56

Disagree 2 5.72

Strongly disagree -

Dont know 5.72 5.72

0% 6% 6% 40%

48%

str.agr. agree disagree str.disagr. don't know

According to the above data researcher come to know that 88.56% employees know about their job responsibility in detail. But near about 10% employee dont know what exactly they should have to complete at the end of the six months.

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Table-4 Table for extra skills

Particulars Responses out of 35 Total%

Strongly agree 10 28.57

Agree 15 42.86

Disagree 6 17.14

Strongly disagree -

Dont know 4 11.43

11% 17%

29%

43%

str.agr agree disagree str.disagr don't kno

About data shows that many employee have extra skills so that they can perform their work perfectly in JK Cement. But at the same time 29% employees who want to improve their job skill and other skills as well.

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Table-5 Performance appraisal process Particulars Responses out of 35 Total% Strongly agree 17 48.57 Agree 8 22.86 Disagree 7 20.00 Strongly disagree Dont know 3 8.57

0%

9%

48% str.agr. agree disagree str.disagr. don't kno

20%

23%

Above question is mention only because researcher can know what would be the current position of performance appraisal system in JK cement. After research, researcher come to know that out of 250 employees total 72% employee area those who know the performance appraisal system of JK cement. But at least 20% of the employees are not aware of appraisal system.

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Table-6 Satisfaction from Appraisal Process Particulars Responses out of 35 Total% Strongly agree 14 40 Agree 8 22.86 Disagree 10 28.57 Strongly disagree 2 5.71 Dont know 1 2.86

6% 29%

3% 39%

23%

str.agr agree disagree str.disagr. don't kno

Researcher also want to know that how the employee are satisfied with their appraisal system. So that in JK Cement total 62.86% employee is fully satisfied but the 37.14% employees are still not satisfied with the appraisal system.

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Table-7 Table indicates improvement in Appraisal Process Particulars Responses out of 35 Total% Strongly agree 10 28.57 Agree 18 51.43 Disagree 7 20 Strongly disagree Dont know -

20%

0%

29%

51%

str.agr agree disagree str.disagr don't kon

Though most of the employees are satisfied with their performance system. But still 80% employees want to improve their job related area.

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Table-8 Table shows motivation through Appraisal Particulars Responses out of 9 Total% Strongly agree 11 31.43 Agree 14 40 Disagree 8 22.86 Strongly disagree 2 5.71 Dont know -

6% 0% 23% 31%

40%

str.agree agree disagree str.disagr. don't kn

If we see above data then researcher come to know that performance appraisal system of the JK Cement is the best way to motivate the employee because 94% employees are motivated, but the employee who not get appraisal they feel very bad.

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Table-9 Table of improvement in job related area Particulars Responses out of 35 Total% Strongly agree 10 28.57 Agree 18 51.43 Disagree 7 20 Strongly disagree Dont know -

20%

0% 29% str.agr. agree disagree str.disag. don't kno

51%

Though most of the employees are satisfied with their performance system. But still 80% employees want to improve their job related area.

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Table-10 Decision making power through Appraisal Process

Particulars Responses out of 35 Total%

Strongly agree 2 5.71

Agree 8 22.86

Disagree 13 37.14

Strongly disagree 12 34.28

Dont know -

0% 6% 34%

23% str.ag. agree disagree str.disag. don't kno

37%

In this plant at least 72% employees feel that there is no negative effect on workers performance. But some employees feel sorry when they dont get appraisal.

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CHAPTER 5 FINDINGS SUGGESTIONS AND CONCLUSION

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5.1 FINDINGS
A careful analysis of the data reach the followings: 1) Employees have the knowledge of organization vision, mission and values. 2) Every one is aware of long-term goals and job responsibilities. 3) Many employees have a different type of skills so that It should be helpful for the employee as well as. 4) It will help in motivating employees. 5) Employees know about the process of appraisal. But still there are some employees who are not aware of performance appraisal 6) After seen the level of satisfaction with the appraisal system in JK cement, at least 62.86% are satisfied. But rest are not satisfied 7) Many of the employees want improvement in their job related areas; compensation, salaries, promotion etc depend upon the appraisal system. 8) Perfect decisions and building up confidence in taking decision; it also helps in knowing the strengths and weakness of employees and therefore can be incorporate in SWOT analysis.

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5.2 SUGGESTIONS
Need of Appraisal consciousness Data analysis depicts that most of the employees does not have proper, knowledge about the Appraisal System, for this, HRD department should be introduce the system and its necessity to the senior and older employees and introducing it properly to the newly recruit persons. Feed back of appraisal It is the responsibility of reviewer and appraiser to organize feedback session for the non-performing employees or under performing employees. This process can be beneficial in improving the performance of these under-performing employees. Explicit declaration of action plan, goal and objective by the management Action plan goal and objectives should be clearly explained to each and every employee. The methodology of work should be clearly understood by employees with all doubt clearly. Timely review of job responsibility Timely review of job responsibilities is necessary, so that, the distribution of job is done evenly. Reward system for best performance

A concept of awarding the BEST EMPLOYEE OF THE YEAR should be

introducing in JK Cement. This will help in boosting the moral of the employees and perform better.

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Suggestions For Future Research

1. Future research should be done with large segment of industries. 2. In future research more tools of research also be used. 3. Researcher should apply some statistical formula in research. 4. Future researches should not deviate from his research work in organizational seething.

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5.3 CONCLUSION

From the study, the researcher concludes that in JK Cement performance appraisal system is working at an expected pace. The topic Effectiveness of performance appraisal system in JK cement is done by the survey method. Successful implementation and institutionalization of Performance Appraisal demands the real support and active participation of all concerned i.e. Appraisee, Appraiser, Reviewer and Unit Head. They need to make wholehearted contribution to make this system effective. Appraisal should be viewed essentially as an instrument of development and not an instrument of rewards by the management only. After the analysis the researcher comes to know that the Appraiser should try to analyze the strengths and weaknesses of an employee and guide him about building his skill/behavioral gaps. In JK cement the Appraiser should organize a feedback session with Appraisee after appraisal during which feedback can be given to appraisee and his difficulties in performing assigned tasks can be understood. Thus, the policy and practice of performance appraisal at JK Cement is none or less service the bank purpose of human resource development and so also the organizational effectiveness.

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BIBLIOGRAPHY While preparing this project report, I have consulted the following books and magazine.

Authors Edwin B. Flippo V.S.P. Rao Naresh k. Malhotra Udai Pareek K.K. Choudhari Gupta S.P. Khothari C.R.

Books Personnel Management Human Resource management Marketing Research Human Resource Development Personnel Management for Executives Statistical Methods Research Methodology

From the Industry: Performance appraisal guideline handbook Performance appraisal process-a guide Achieve profile and sector Discussion with guide in JK Cement

Magazine and Newspapers: 1. Business Today 2. Cement Manufacturing Association Data 3. Prospectus of J.K. cement Woks, Nimbaher
Net surfing: Website of JK Cement.

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ANNEXURE

QUESTIONNAIRE

1) Name of employee 2) Department 3) Designation 4) Qualification 5) Working hours (Timings) 6) Length of service: In JK Cement Before joining JK Cement Total Experience

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(Please fill-up the following questionnaire in a very relaxed and calm manner without any prejudice. I shall be gladly thankful to you for co-operation in this regard.)
Strongly Sr. Particulars Agree No 1 I am aware of my organizational vision, mission and values. 2 I know my long-term goals in JK Cement. 3 I know my job responsibility in details. 4 In JK Cement, my potential is given preference. 5 I have other skills instead of current job. 6 I know the Performance Appraisal Process in JK Cement. 7 I know what are the basic needs for P.A. in JK Cement. 8 Appraisal process in JK Cement is structured & systematic. 9 I am satisfied with my Performance Appraisal system. 10 I want more improvement in Appraisal System in my unit. 11 Current Appraisal System in my unit motivates me. 12 I think, I want improvement in my jobrelated area. 13 In my unit talented employees are having a better career. Agree Disagree Strongly Disagree Dont Know

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Sr. No 14

Particulars Compensation increases / salary revisions are based on Appraisal System in my unit. Promotions / Up gradation in my unit are based on Performance Appraisal system. Appraisal system gives some negative impact on job. Appraisal System has strengthen my decision making power. Behavior of my superior is good with me. Appraisal system of my unit helps me in knowing about my strengths and areas of improvement. I feel that appraisal system is very important for my unit/organization and me.

Strongly Agree

Agree

Disagree

Strongly Disagree

Dont Know

15

16 17 18 19

20

Thank you for your support and for giving me your precious time. Signature: Name: Date:

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